Romania inks €2 billion deal with Israel for next-gen air defence systems

Romania is making its biggest-ever air-defence investment as it ramps up its military readiness in response to growing regional threats. As Defence Industry Europe notes in its report, the Ministry of National Defence has signed a landmark €2.04 billion framework agreement with Israel’s Rafael Advanced Defense Systems to procure state-of-the-art SHORAD and VSHORAD air-defence systems.

The deal, finalised on 18 July through the Romanian state-owned company CN Romtehnica SA, outlines a seven-year programme that includes six integrated systems along with training, simulation, ammunition, and logistical support. The first two VSHORAD systems are expected to be delivered within three years of the initial contract signing.

The new systems are expected to dramatically improve Romania’s short- and very-short-range air defence capabilities, replacing ageing Hawk launchers and enhancing the country’s layered defence strategy alongside existing US-made Patriot and Aegis systems. The Rafael SPYDER platform—featuring Python-5 and Derby interceptor missiles with ranges up to 80 km—is widely believed to be at the core of this procurement.

Romania’s Defence Ministry stated the SHORAD–VSHORAD systems offer an “optimal combination of mobility, efficiency and integration into modern defensive networks,” and are fully compatible with NATO infrastructure. This latest move is seen as a direct response to the security environment following Russia’s 2022 full-scale invasion of Ukraine. Romania, a NATO and EU member sharing a 650 km border with Ukraine, has faced several incidents of Russian drone debris landing on its territory.

Adding to the momentum, Romania’s Defence Minister earlier this month confirmed the country’s intention to acquire the Iron Dome system—also produced by Rafael—further reinforcing Romania’s growing partnership with Israel’s defence industry.

Bucharest hopes that European funding instruments, including the Act in Support of Ammunition Production (ASAP) and the European Defence Industry Reinforcement through Common Procurement Act (EDIRPA), will help finance the acquisition and promote industrial cooperation with local defence firms.

This record-breaking agreement is a strategic step forward for Romania’s national defence, aimed at strengthening deterrence, boosting NATO interoperability, and modernising the country’s response to aerial threats in an increasingly unstable security climate.

By Sabina Mammadli